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Contract Labour (Regulation & Abolition) Act 1970

(Querist) 10 February 2009 This query is : Resolved 
Whether contract labour after completing 240 days in Principal Employers establishment automatically become the employee of the Principal Employer.

Any case law on this.

Which contracts are perennial contracts.

Apart from the usual benefits given to the contract labour under the Act, which other benefits can be given without attracting the backlash under the Act.

Regards,
Ramesh Mande

Manish Singh (Expert) 11 February 2009
no the contract labour never becomes as an employee of the principal employer irrespective of the period of employment with the principal emlyr.
you are always welcome to provide with extra benefits to any employee in excess of legal liabilities.
Murali Krishna (Expert) 11 February 2009
1.A contract labour, irrespective of the number of days of working, cannot become employee of principal employer.

2.Employement of Contract labour is prohibited in works of perennial nature. - However, violation attracts penalty & punishment. It does not give the contract labour regular employment in the principal employer's establishment.

3. Certain works are prohibited by the Central government by giving specific notifications. In such works contract employment is prohibited.

4. Providing better amenities, benefits never attracts any backlash, not providing them attracts.
Ramesh (Querist) 12 February 2009
Dear Mr. Manish Singh & Mr. Murli Krishna,

Thanks for your inputs.

Regards,
Ramesh Mande
Hiralal Das (Expert) 08 April 2009
Thanks all of you the ld. members and the author.
I think your valuable opinions will assist everybody to solve their problem/matter in question properly.
A. A. JOSE (Expert) 19 June 2009
The concept of automatic regularisation has been done away with in the SC judgement of SAIL. Now the workmen has to move the Industrial Tribunal and establish his status as workmen eligible for regularisation in the establishment.


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